You first have to specifically define the trend and then understand that specific trend only exists on that particular chart. Traders stumble when they start trying to read trends using multiple timeframes. What is a trend on one chart is countertrend on another.
This is so true.. can't tell you how many times I put myself in that situation... I have learned to overcome this though and I believe its because I've had my A$$ handed to me so many times trying it.. I eventually learned not to do it..
What's wrong with getting stopped out? You don't complain when things work in your favor. If it is a good entry, take it. If you think retest is better, take that.
Not what I mean.. getting stopped out is a part of doing business..but getting stopped out too often is what was happening to me
You are absolutely correct and before that is the last traded volume and before that is the last traded volume and before that is the last traded volume and before that is the last traded volume and before that is the last traded volume and before that is the last traded volume and before that is the last traded volume and before that is the last traded volume and before that is the last traded volume and before that is the last traded volume and . . . when you string that all together it become a Volume Bar Chart. A pure price chart based on volume.
Time is important to me too. I like the period between 9:50 to 11:20am est (3 half-hour sessions) for reversals. I do try to buy reversal on a pullback during trend day but extra patience required. I am thinking about spacing out my trades after a loser so I don't shoot at the same leg...
A chart does not have the predictable power people think it does. For example today was equity futures expiration. Is the volume still "PURE" as you state? During roll over is the volume "PURE"? How do you differentiate "Pure" and "filthy" volume? The answer is you can't. You can make an educated guess but that is it. No trader needs a chart to make an educated guess!! The reason I am attaching the chartist approach is I think some of the new people believe their is something magical in a chart formation. It sounds to me you have a good grasp of trading. I would bet the backbone of your trading is your sound money management NOT your ability to read a chart. For example, Monday I would bet you could make money without looking at a chart if you still followed sound money management. However, you would not be able to make money if you based your trades on a chart formation, but did not follow sound money management.
God I love disagreement. Without it we would have no market. The thing that absolutely amazes me is how even opinion is usually divided. It seldom strays more than a few ticks from 50/50.
I agree you can't predict price, no one can with any consistency but you can read it if the environment is not one that contains variables. It doesn't make any difference whether it's equity futures expiration, roll over, Black Friday, September 11th, or my Mothers birthday, price movement is price movement. Like yoiu said, it all about the last traded volume, and the traded volume before that, and the traded volume before that . . . Money Management is part in parcel to Trading but you don't have money to manage if you aren't consistent in your trading. I don't read a chart I read price the same way a pit trader reads price direction but I do it electronically. I know a lot of successful scalpers and though I don't trade that way I understand what makes them do what they do. We all make money and take turns on buying the beers. I just prefer a more consistent and less stressful means of extracting profit from the market for a few hours effort each day. I read Price not chart formations. Pattern recognition is not consistent either. Hey, I like liver most people don't.